TO: Honorable Mayor and Members of the City Council
THRU: Bonnie Hagan, Acting City Manager
FROM: Christopher Cash, Public Works Director
1. Subject
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Authorize purchase of one vehicle for the Orange Fire Department and two vehicles for the Orange Police Department using a Cooperative Purchasing Agreement.
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2. Summary
Purchase and equip three vehicles for the Orange Fire Department and Orange Police Department from South Coast Fire Equipment and National Auto Fleet Group, respectively. City Council has previously approved the Cooperative Purchasing Agreement as the standard for vehicle and equipment procurement.
3. Recommended Action
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1. Authorize the purchase of one Pierce Enforcer Fire Apparatus in the amount of $921,292.
2. Authorize the purchase of safety equipment and supplies needed to equip the Fire Apparatus from various lowest qualified vendors in the amount of $220,000.
3. Authorize the replaced Fire Seagrave Pumper, 2003 Seagrave to be donated to Queretaro, Mexico.
4. Authorize the purchase of two 2022 mid-sized utility vehicles from National Auto Fleet Group in the amount of $80,051.
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4. Fiscal Impact
The total expenditure for this purchase is $1,221,343 and will be funded through the Vehicle Replacement Fund (720).
5. Strategic Plan Goals
Goal 1: Provide for a safe community
a: Provide staffing and resources to deliver services that ensure public safety.
Goal 2: Be a fiscally healthy community
a: Expend fiscal resources responsibly.
6. Discussion and Background
A total of 29 vehicles and equipment are beyond their useful life and require replacement within Fiscal Year 2021-22. Two replacement vehicles were approved by Council in August and have been ordered. The three vehicles are for the Orange Fire Department and Orange Police Department, and are identified with their recommended replacements as follows:
•Year 2013 Seagrave Pumper replacement cost for 2022 Pierce Enforcer is $1,121,292.
•Year 2000 Ford Crown Victoria replacement cost for 2022 Dodge Durango is $40,026.
•Year 2001 Ford Crown Victoria replacement cost for 2022 Dodge Durango is $40,026.
The Council has previously authorized a Cooperative Purchasing Agreement (CPA) using Houston-Galveston Area Council (HGAC) and Sourcewell as the standard for vehicle and equipment procurement. This purchase is a continuation of that policy.
The procurement of the replacement fire apparatus is from Pierce Manufacturing and their local dealer South Coast Fire Equipment, through contract No. FS12-19 by HGAC. The City has purchased fleet vehicles from South Coast Fire Equipment over the past five years. The City will receive a 2% discount ($17,533) off of the net price of the apparatus using the HGAC contract. In addition, staff recommends paying for the apparatus upfront for an additional savings of 2.67% ($23,371). These savings include purchasing a performance bond for $1,972 to secure the upfront payment. Using this approach, the combined savings for using the CPA as well as utilizing the upfront payment option is $40,904. Upon placement of the order, the apparatus will take 16-18 months to build and equip.
In addition to purchasing the Pierce Enforcer Fire Engine, the City will use several lowest qualified vendors to equip the new vehicle for communications and other safety equipment, for a total not to exceed $220,000.
With the procurement of the new fire apparatus, Unit No. 1392, a 2003 Seagrave Reserve Fire Engine with 135,000 miles, will be coming out of service. Staff recommends donating the vehicle to the Queretaro Fire Department along with the used fire equipment. Queretaro, Mexico, has been a sister city to the City of Orange for the past five decades. The fire service is a global community. Many fire departments help under-resourced fire departments in developing countries by providing firefighting gear and equipment that has reached the end of its service lifecycle in the U.S. but still has value for firefighters who may be using more senior gear and equipment. The calculation for depreciation estimates the value of the 2003 Seagrave Pumper to be $6,500 to $8,500.
As for the acquisition of the two Dodge Durangos for the Orange Police Department, Sourcewell contracts are nationally solicited, competitively bid, and awarded. National Auto Fleet was awarded contract No. 120716-NAF for Cars, Trucks, Vans, SUVs, and Other Vehicles. Through Sourcewell’s contract with National Auto Fleet Group pricing discounts ranging from 25.86% to 1% across 15 manufacturers depending on the model. The discount to the City for the two Dodge Durango’s is 16.20% for a combined savings of $13,056.
7. ATTACHMENTS
• Letter from Bomberos Queretaro
• HGAC FS12-19 Bid
• CPA bids are available for review in the Purchasing Department